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Non-Tech : McDonalds (MCD)
MCD 311.02+0.8%Dec 5 9:30 AM EST

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To: Fredric D. Bellamy who wrote (30)11/6/1997 6:05:00 AM
From: Fredric D. Bellamy  Read Replies (1) of 288
 
To all: Here's a link to an interesting piece by a Morningstar stock analyst regarding MCD: text.morningstar.net
She is basically bullish long-term, says she would rather pay a below market multiple for MCD, with its great brand name, than pay the normal multiple for an average S&P 500 stock. She also points to MCD's great cash flow and return on equity, and points out the oft-observed strength of MCD in overseas markets. MCD's story is basically one of consistently strong earnings, even though growth may have slowed domestically. Her back-of-the envelope calculations are interesting and probably show what caught Warren Buffett's attention.
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